(A) Purpose. As Santa Paula grows and develops, agricultural land uses are likely to be converted to urban land uses. The water rights that are now used by that agriculture would then be needed to serve the new urban land uses. This section provides a mechanism by which those agricultural water rights will be dedicated to municipal use, or alternatively a fee paid in lieu of the dedication of those rights when the available rights either are not sufficient to meet the needs of the new land use, or the owner or developer cannot or will not dedicate the required water rights to meet the needs of the new land use. The purpose of the fee is to provide funds for projects to develop or acquire additional water rights or water resources to mitigate the added water demand caused by the land development. Furthermore, the purpose of this fee is to assure that adequate water supplies are available for proposed or intensified developments without adverse impacts to the city's existing customers or new developments. This section also includes a provision for the sharing of water rights for new or existing agriculture located on the remaining portion of any parcel of land that is being developed to assure that existing agriculture located on the parcel is not needlessly or prematurely destroyed due to a lack of water, or that viable new agriculture proposed to be located on the remaining portion of the parcel is not prohibited due to a lack of water.
(B) Definitions. For the purpose of this section, WATER RIGHT shall mean any right held on or after March 7, 1996 to pump ground water pursuant to the judgment in the case of United Water Conservation District vs. City of San Buenaventura (Case No. 115611), or such other water rights that may be available for permanent transfer. Any water right in the Santa Paula Basin to be dedicated to the city shall be determined by the Santa Paula Basin Technical Advisory Committee.
PROJECTED DEMAND FOR WATER. Shall mean the estimated annual quantity of water required to serve the proposed annexation, development or water service connection, as determined by the Director, including an allowance of 25% for potential future increases in the quantity of water required.
(C) Dedication of water rights within city limits.
(1) The owner or developer of any parcel of land, located within or being annexed to the city, shall dedicate all transferable and exercisable water rights attached to said parcel to the city upon any of the following events:
(a) Annexation of said parcel to the city;
(b) The granting of any development entitlement by the city for any land use, other than agriculture, upon said parcel;
(c) The construction or enlargement of any service connection to said parcel from the city water enterprise.
(2) In the event that any water rights attached to said parcel have been sold or transferred to anyone other than the city on or after March 7, 1996, the owner or developer of said parcel shall, to the extent feasible, obtain at his or her sole expense, equivalent water rights and dedicate said rights to the city.
(3) In the event that the water rights serve more land than the land or parcel to be annexed, developed or to receive a water service connection, the water rights to be dedicated shall be determined by proration on the basis of the historical water usage of the various lands or parcels served. If it is not feasible to prorate the water rights on the basis of historical water usage, then the proration shall be made on the basis of the irrigated land areas of the various lands or parcels served.
(4) In the event that the water rights are held by an association, water company or agency on behalf of the property owner or developer and said association, water company or agency cannot or will not dedicate the required water rights to the city, the owner or developer of said parcel shall, to the extent feasible, obtain at his or her sole expense equivalent water rights and dedicate said rights to the city.
(5) In the event that the dedicated water rights are not sufficient to meet the projected demand for water, including the demand for water needed to serve any remaining agriculture as provided in division (C)(7) below, by said parcel or in the event that there are no water rights attached to said parcel, or in the event that it is not feasible to obtain equivalent water rights as required by divisions (C)(2) or (C)(4) above, the owner or developer shall pay a water resource in-lieu fee, as established in division (E) below, to the city based upon that portion of the projected demand for water that is not met by the dedicated water rights.
(6) In the event that the dedicated water rights exceed the projected demand for water by said parcel, a credit shall be issued against the various fees and charges due to the city under this chapter. The credit shall be equal to the water resources in-lieu fee, as established in division (E) herein applicable to that portion of the dedicated water rights in excess of the projected demand for water.
(7) In the event a parcel has an active or inactive meter, the property owner/developer may request water demand credits.
(8) In the event that the dedicated water rights are needed to continue to serve agriculture remaining on any undeveloped or residual portion of the land or parcel, including any new agricultural development proposed on said land or parcel, the city shall enter into an agreement with the property owner or developer for the shared use of the dedicated water rights, provided the water is to be used only on said land or parcel and provided the quantity of water to be used and the type of agriculture to be served is reasonable and appropriate.
(9) In the event that the dedicated water rights are needed to serve agriculture remaining on said land on an interim basis until said land is converted to non-agricultural use, the city may enter into an agreement with the property owner or developer for the shared use of the dedicated water rights until such time as the agricultural use is terminated.
(10) In the event that the dedicated water rights are needed to supply water to a proposed non-potable water distribution system intended to supply water for irrigation purposes to public or private landscaping on said land, the city may enter into an agreement with the property owner or developer for the shared use of the dedicated water rights. In the event that the property to be developed has an active or inactive water meter, a water demand credit, as determined by the Director, may be provided.
(a) An active water meter is a city meter which has a historical usage for at least 12 consecutive months in the last 10 years prior to the issuance date of the development. The water demand credit may be the average annual use of the same meter size and customer class of the meter.
(b) An active meter is a city meter that was available to serve the property but there was not 12 consecutive months of metered use in the past 10 years prior to the issuance date of the development entitlement for the proposed development and the customer has paid the city's fixed monthly charges up to the issuance date of the development entitlement for the proposed development. The water demand credit may be half the average annual use of the same meter size and customer class of the meter.
(c) In the event that there is no meter serving the property, no water demand credit will be provided.
(11) The addition of water demands to an active or inactive meter that does not increase the water meter size, as determined by the Director, is exempt from the requirements of this chapter.
(D) Dedication of water rights outside city limits.
(1) The owner of, or developer of, any parcel of land located outside the limits of the city shall dedicate sufficient water rights to the city to meet the projected demand for water of any new or enlarged service connection constructed to said parcel from the city water enterprise.
(2) In the event that the water rights are held by an association, water company or agency on behalf of the property owner or developer and said association, water company or agency cannot or will not dedicate the required water rights to the city, the owner or developer of said parcel shall, to the extent feasible, obtain at his or her sole expense equivalent water rights and dedicate said rights to the city.
(3) In the event that the water rights attached to said parcel are not sufficient for said dedication and that said water rights have been sold or transferred to anyone other than the city on or after March 7, 1996, the owner or developer of said parcel shall, to the extent feasible, obtain at his or her sole expense, equivalent water rights and dedicate said rights to the city.
(4) In the event that the dedicated water rights are not sufficient to meet the projected demand for water by said parcel, or in the event that there are no water rights attached to said parcel, the owner or developer shall pay a water resource in-lieu fee, as established in division (E), to the city based upon that portion of the water demand that is not met by the dedicated water rights.
(E) Water resource in-lieu fee imposed.
(1) The City Council has established a water resource in-lieu fee by resolution. The fee shall be imposed in accordance with this section. The proceeds of the fee shall be retained in a separate account and shall be used for capital projects, including associated engineering, environmental review, and legal and administrative costs, that will generate additional water resources or water rights for use by the water enterprise. Those projects may include, but are not limited to, the purchase of water rights, construction of projects to import state water or other water, construction of projects to increase groundwater recharge, and construction of projects to use reclaimed water in-lieu of existing water demand. The projected water demand and the amount of the resulting fee shall be calculated by the director, using factors contained in the resolution. The water resource in-lieu fee shall be in addition to all other fees and charges required by this chapter.
(2) In the event that a fee resolution has not been adopted, the director shall collect a deposit in the amount established in the prior resolution for the estimated annual water demand in excess of the water rights dedicated to the city. The deposit shall be applied to the fee upon adoption of the resolution. Any amount in excess of the adopted fee shall be refunded to the person who paid the deposit.
(3) Effective on July 1 of each year, the fee amount established in the resolution will be increased by 5.4% per year which represents the growth rate pumping right sales in the Santa Paula Basin from 2006 to 2015 until a new resolution is adopted.
(F) Appeal process.
(1) Any proposed development applicant (Applicant) who does not agree with the fee calculated for their proposed development pursuant to this chapter shall have the right to appeal.
(2) The appeal must be in writing, legible, and received by the director within 15 days of the determination of the fee submitted to the applicant. The written request for appeal shall include:
(a) A description of the reason for the appeal;
(b) Evidence supporting the appeal; and
(c) A suggestion for resolution for the dispute, if any.
(3) Within 15 calendar days of receipt of the written appeal, the director will notify the applicant of confirmation of the receipt of the appeal and a timeline for the director's written independent determination of the fee.
(4) The director's determination may be appealed in writing to the City Manager within 15 calendar days of the mailing of the director's determination. The appeal of the director's determination shall be heard and considered by the City Manager at a time and place set by the City Manager within 30 calendar days from the City Manager's receipt of an appeal, but no public hearing is required. The City Manager shall provide the applicant notice of the time and place for the appeal hearing at the address listed in the appeal filed by the applicant. The City Manager may, in his or her discretion, affirm, reverse or modify the determination accordingly. The City Manager's decision shall be final.
(Ord. 1058, passed 2-18-03; Am. Ord. 1270, passed 4-17-17)